Volvo signs on to manufacture Polestar’s upcoming electric SUV

Electric vehicle (EV) manufacturer Polestar is taking the next step in diversifying its contract manufacturing footprint by expanding it to Europe. The company has signed a memorandum of understanding with Volvo Cars to have Polestar 7 manufactured in Kosice, Slovakia, in advance of the planned launch of the premium compact SUV in 2028.

Polestar 7 will be developed in accordance with the company’s recently announced strategy to use architectures from within the Geely Holding Group. Polestar 7 will utilize a technology base from Volvo Cars, benefiting from group component sharing and cell-to-body technology with next-generation battery density and performance, as well as the next generation of in-house developed e-motors. Adaptations will be made to create the driving experience and performance characteristics that Polestar is known for.

“Working with Volvo Cars to develop and manufacture Polestar 7 in Europe is a unique opportunity that will strengthen our position in our home market,” says Michael Lohscheller, Polestar CEO. “Our strategy of utilizing Group architectures as the base for our future model line-up gives us access to the best, latest technologies, in a cost-efficient manner. With a design and sporty driving characteristics that are instantly recognizable, Polestar 7 will set new standards in the premium compact SUV segment.”

 “Our collaboration with Polestar on the development and manufacturing of the Polestar 7 underscores how Volvo Cars and Polestar continue to leverage synergies to efficiently deliver outstanding vehicles built for our distinct customer segments,” says Håkan Samuelsson, Volvo Cars president and CEO.

Construction started on the Volvo Cars factory in Kosice in 2023. The location of the factory offers good logistical connections to European markets and a developed supplier base.